New Business-Related Laws Went Into Effect July 1
New Business-Related Laws
Went Into Effect July 1
New laws affecting Connecticut businesses took effect July 1.
*The general sales and use tax rate increases from 6 percent to 6.35 percent, and room occupancy tax increases from 12 percent to 15 percent. Sales tax goes to 7 percent for vessels more than $100,000, vehicles more than $50,000, jewelry more than $5,000, and clothing and footwear more than $1,000.
*The tax on rental or leasing passenger vehicles for 30 consecutive days or less increases from 6 percent to 9.35 percent .
*New taxable services include airport valet parking, studio yoga instruction, packing/crating services, towing /road services, pet grooming, and nail/spa services.
*Real estate conveyance tax increases from 0.5 percent to 0.75 percent with deletion of the sunset date.
*New electric generation tax imposed on electric generation services and uploading electricity generated at Connecticut facilities to the regional power grid.
*SB 1001 AAC creating the First Five Program provides incentives to companies already in Connecticut and those that would locate here that create at least 200 jobs in the state. The bill waives requirements for legislative oversight in the provision of significant financial assistance to no more than five companies.
*HB 6651 (Section 29) (Public Act 11-48) AA, implementing provisions of the budget concerning general government takes a step toward creating a more business friendly Connecticut. The secretary of the state will create an electronic business portal to serve as a single point of entry for businesses to help them register, determine permitting/licensing requirements, and find available state financial incentives and programs.
 *SB 1003 (PA 11-84) AAC. The nine-member Connecticut Airport Authority replaces the current Bradley board of directors. The authority is empowered to act quickly and allow Bradley to compete for air traffic and generate economic activity. The panel would also have authority over Connecticutâs smaller airports.
*SB 1243 AA, merges the current Department of Environmental Protection, the Department of Public Utility Control, and energy experts within the Office of Policy and Management into the Department of Energy and Environmental Protection (DEEP), with energy and environmental oversight, and expands state programs increasing the use of green technologies and jobs within the industry.
 *SB 1239 AAC, the budget for the biennium ending June 30, 2013, eliminates the sales tax exemption for hazardous waste removal, which could have broad consequences for brownfields and other cleanup activities.
 *HB 6526 AAC, changes existing DEP cleanup programs, especially regarding brownfields, and provides an entirely new option for brownfields developers designed to attract private investment in these properties.